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V125BC [204]
3 years ago
12

Wild Trails Inc., an adventure resort in Texas, has 500 shares of outstanding common stock and has not issued any preferred stoc

k. Its net income is $27,500. Wild Trails Inc.'s earnings per share (EPS) is _____.
Business
1 answer:
erma4kov [3.2K]3 years ago
7 0

Answer:

$55

Explanation:

The earnings per share indicate the profit per outstanding stocks and it is calculated by dividing the net income by the number of shares of outstanding stocks. According to this,

Earnings per share= $27,500/500

Earnings per share= $55

Wild Trails Inc.'s earnings per share (EPS) is $55.

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B) False

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The indifference policy advocates that dividends are irrelevant.

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wlad13 [49]

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